Clare Council Council has suffered a setback in its ongoing legal row with a private firm over its €10 million per annum Cliffs of Moher visitor centre business.
This follows the Court of Appeal overturning a High Court ruling that there had been an inexcusable delay in park and ride firm, Diamrem Ltd bringing court proceedings against the Council concerning the operation of the Council car-park that serves the world renowned visitor attraction.
As a result, Ms Justice Nuala Butler has directed that Diamrem promptly lodge a fresh Statement of Claim concerning its legal dispute with the Council.
Pre-Covid the Council owned Cliffs of Moher visitor operation generated annual revenues of €9.7 million with the bulk of income made from the car-park fees at the visitor attraction.
In the Court of Appeal judgement, Ms Justice Butler records how Diamrem purchased lands and constructed two Cliffs of Moher park and ride car parks for Liscannor and Doolin in 2010 and entered a contract with the council to operate the buses along these routes to serve the Cliffs of Moher.
This followed negotiations with the council about putting in place park and ride facilities.
However, Diamrem state that it was unable to operate its Park and Ride business on an economic basis because the Council continues to operate its own large 480 space car park at the Cliffs of Moher.
Diamrem claim that the continued use of the car-park is unauthorised and Ms Justice Butler stated that needless to say, the Council “does not agree with this characterisation of events”.
Crucially, Ms Justice Butler says, the Council contend that the provision of Park and Ride facilities was not a condition of the 2002 grant of planning permission for the visitor centre.
Ms Justice Butler said that “these disputed facts have already given rise to three sets of litigation” with Diamrem issuing its first set of proceedings in 2016.
The judge records that during the timeframe, Diamrem lodged four separate Freedom of Information (FOI) requests with the Council seeking to ascertain the profits made by the Council from its Cliffs of Moher operation.
The Council refused all FOI requests on the basis that the information was commercially sensitive and/or prejudicial to the outcome of negotiations.
On Diamrem’s successful review to the Office of the Information Commissioner, the Council was directed to grant access to the records.
Ms Justice Butler records, “Somewhat surprisingly, notwithstanding the decision of the Commissioner on the first review on 14 June 2018, the respondent continued to refuse subsequent requests made in July 2018, August 2018 and February 2019 on the same grounds”.
The Council launched an appeal to the High Court against the first decision of the Commissioner but withdrew that appeal before it was heard in January 2019.
As part of the three judge Court of Appeal ruling on Diarmrem’s successful appeal, Ms Justice Butler has awarded costs against the Council.
Ms Justice Butler has made an order awarding Diarmrem’s costs of the appeal to include the costs of the High Court and an order setting aside all of the other Costs Orders made by the High Court.
